Raoul Pal: Higher Yields Stimulate Risk Assets

Raoul Pal told RealVision that higher bond yields now function as net stimulus because an aging population owns the debt and receives the coupons as spendable income instead of a tax. Michaël van de Poppe summarized the argument on X, noting the old hike-rates-then-risk-off transmission has broken.

Pal described the current environment as a mid-cycle correction rather than cycle end, with liquidity merely flat instead of contracting sharply like prior bear phases. He pointed to stablecoins, tokenization and AI agents as the adoption base that only needs fresh liquidity to ignite the next leg.

Bitcoin trades at $74554.27 inside its 4-hour Bollinger band with the upper band at $76917.11 acting as immediate resistance while the EMA50 at $76756.63 and EMA200 at $79928.48 sit above price as layered resistance; the MACD death cross at -724.51 and RSI at 35.32 confirm the bearish structure, suggesting any bounce into the upper band will likely meet selling before a deeper test of the lower band support near $74226.93.